Liberty’s First-Half Profit Rises as Insurer Sells Policies

Aug. 1 (Bloomberg) -- Liberty Holdings Ltd., the insurer
controlled by Standard Bank Group Ltd., said first-half profit
rose 5 percent as it sold more policies and equities gained.

Net income rose to 1.67 billion rand ($169 million) from
1.58 billion rand a year earlier, Johannesburg-based Liberty
said in a statement today. Earnings per share excluding one-time
items and accounting adjustments gained to 6.49 rand, compared
with 6.13 rand a share in the previous period.

“Performance has been supported by innovative new
products, solid insurance new business growth, reasonable
investment fund performance,” Liberty said in the statement.

Liberty will pay a gross interim dividend of 212 cents per
ordinary share, a 10 percent increase from last year.

The insurer has operations in 14 African countries outside
its home market as it targets expansion in faster-growing parts
of the continent. South Africa’s stock market reached a record
high in May.

“Our core insurance and asset management businesses are
performing better than assumptions,” Liberty said. “We
anticipate that they will continue to do so and attract higher
levels of new business at improved margin despite the current
pressure on consumer disposable income in South Africa.”

Liberty declined 2.9 percent to 119 rand in Johannesburg
trading today. The stock has risen 10 percent this year, less
than the 15 percent gain by the FTSE/JSE Africa Life Assurers
Index.